Sector Skills Council gets major Government cash injection

The newly formed 'Sector Skills Council' network will receive nearly £30 million between 2003-4 to boost business efficiency through the development of skills and training in the UK.

John Healey, the Adult Skills Minister, announced £23.5 million is to be made available to the Council's 'Sector Skills Development Agency' – which is to oversee the development of a UK-wide network of five smaller sector specific councils.

The five arms of the central skills agency are charged with boosting the country's skill levels in: retail; land-based skills; audio-visual; textiles and petrochemical sectors.

Up to £1 million 'core funding' will be made available to each individual council with employers expected to contribute additional funding to the scheme.

The councils have been earmarked to receive an additional £5 million in April 2003.

Mr Healey said: "This funding signals the clear priority we are giving to the Sector Skills Councils and the important role we expect them to play in closing the skill and productivity gaps with our international competitors.

"Sector Skills Councils represent a radical departure from what has gone before. We are inviting - not imposing - employers to form councils that will receive more investment from and will have more influence with Government than ever before. These employer-led councils will have backing across Government for their work. Their remit will extend far beyond education and training issues and encompass all aspects of the skills agenda.

"We want to see something in return for increased investment and influence. We expect employers to contribute additional private investment to drive forward their important work in articulating their sector's skills needs and ensuring that current and future education and training provision meets them.

"The councils will be run by employers for employers and it is important that their contribution reflects their ownership. I urge all employers - large and small - to become involved in discussions in their sectors about applying for SSC status. The rewards will benefit individuals, sectors and the economy as a whole."

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Richard Powell, UKTECH